ACME Solar plans to fund green energy projects with Rs 40 billion debt

ACME Solar, one of the leading solar developers in India, has recently raised $334 million through its first offshore green bond issuance. 

The bond, which has a coupon rate of 4.7% and a maturity of five years, will be used to finance twelve of its operating solar projects with a total capacity of 450 MW (or 605 MWp) across eight states in India.

The bond issue was certified as green by the Climate Bond Initiative and verified by KPMG. It received an overwhelming response from international investors, with a subscription rate of 3.1 times.

This fundraiser is a testament to ACME Solar’s strong business fundamentals and its commitment to quality, reliability, and performance in the solar industry. The company has a cumulative portfolio of 4.8 GWp, which includes 2.2 GWp of operational and another 2.6 GWp of under-construction projects. The company also has strategic partnerships with global players such as Scatec, IFU, Unops, and Brookfield.

ACME Solar has been a pioneer in the Indian solar sector since its inception in 2008. It was the first to establish a solar thermal power project based on tower technology in Asia. It was also the first to commission a solar photovoltaic power plant in Gujarat in 2011. The company has been consistently innovating and expanding its portfolio to meet the growing demand for clean and affordable energy in India and beyond.

ACME Solar’s successful green bond issuance is not only a milestone for the company but also a positive sign for the Indian solar market. 

It shows that there is a strong appetite for green financing among international investors who are looking for sustainable and profitable opportunities in emerging markets.

 It also demonstrates that Indian solar developers can access cost-effective foreign capital to support their growth plans and contribute to India’s ambitious renewable energy target of 450 GW by 2030. ACME Solar is well-positioned to play a leading role in this energy transition and create value for all its stakeholders.